Fedex Corp

Company facts

Industry

Air Courier Services

Headquarters

Memphis, Tennessee

Most recent report

8-K, filed Nov 9, 2026

Incorporated

Delaware

Filings on record

1,001+ filings

On EDGAR

CIK 1048911

Fiscal year ends

May

Filer status

Large accelerated filer

What to read: Sep 2026 10-Q

SECSift found 4 of 14 sections worth reading, with 3 positive, 28 notable, and 1 negative flags.

• CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN COMMON STOCKHOLDERS’ INVESTMENT

  Shows a $464M retained earnings boost from FedEx Freight spin-off and a sharp net income drop.
  Notable

  • Dividend cut to $1.22 per share in Q3 2026 from $1.45 in Q3 2025, a 16% decrease.

• NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

  Major structural changes: spin-off, fiscal year change, new segments, large debt tender, and investment.
  Notable

  • Spin-off of FedEx Freight completed June 1, 2026; FedEx retained 19.9% stake valued at $3.3B as of Sept 30, 2026.
  • New reportable segments: Express U.S. Domestic and Express International, replacing prior structure.
  • Fiscal year changed from May 31 to Dec 31, effective June 1, 2026; one-month transition period presented.
  • IEEPA tariff refund claims submitted total $4.6B; $3.3B cash received; $2.7B customer refund liability recorded.
  • Pilots' new CBA effective June 29, 2026 includes 40% pay raise and $625M one-time payment, paid in Q3 2026.
  • Effective tax rate 31.6% for Q3 2026 vs 29.4% prior year; 5.4% for four-month period due to $3.3B non-taxable gain.
  • New $5B buyback program authorized July 2026; $4.3B remaining as of Sept 30, 2026; $2.0B repurchased in period.
  • Credit loss allowance fell from $371M to $277M in four months; write-offs of $987M offset by $622M recoveries.
  • Acquired 37% stake in InPost (TopCo) for €2.2B cash on Sept 24, 2026; accounted for under equity method.
  • Issued $1.1B of 5.750% notes due 2036 and €2.0B of notes due 2030/2034 on Sept 14, 2026.
  • Repurchased $4.9B of debt via tender offers on July 14, 2026, funded by $4.1B dividend from FedEx Freight.
  • Recognized $627M gain on partial debt extinguishment in Q3 2026 from the tender offers.
  • Debt-to-adjusted EBITDA ratio 1.9x at Sept 30, 2026, well below 3.5x covenant; no borrowings under credit lines.
  • Pension PBO increased $596M due to CBA amendment; $141M noncash mark-to-market gain from remeasurement.
  • Voluntary $300M contribution to U.S. Pension Plan in four-month period; additional $100M planned for remainder of 2026.
  • Purchase commitments total $10.0B, with $4.7B for aircraft; $565M in deposits on aircraft purchases.
  • Lease obligations total $20.0B undiscounted; $1.3B in additional leases not yet commenced (build-to-suit facilities).
  • Supply Chain business held for sale; sold Oct 1, 2026 for $1.4B net cash; $35M transaction expenses incurred.

• Item 2

  Spin-off, tax quirks, tariff lawsuits, and buyback pace all carry real numbers.
  Positive

  • Revenue up 14% to $30.6B for four months ended Sep 30, 2026; operating income up 43% to $1.6B.
  • Express International segment operating income surged 82% to $399M for four months ended Sep 30, 2026.
  Notable

  • MD-11 fleet mostly returned to service by Sep 30, 2026; no further adverse impact expected after this quarter.
  • Fuel expense surged 66% to $1.7B for four months ended Sep 30, 2026, driven by higher fuel prices.
  • Purchased transportation expense rose 21% to $8.6B for four months ended Sep 30, 2026, due to higher rates and fuel prices.
  • Net income of $5.3B for four months ended Sep 30, 2026 includes a $3.3B non-taxable gain on Freight stake.
  • A $249M tax benefit from a TCJA lawsuit is at risk if the government wins its appeal; oral arguments heard July 30, 2026.
  • International transformation programs expected to cost $230M-$260M through 2028; $72M incurred in four months ended Sep 30, 2026.
  • Capital expenditures expected to be ~$3.9B in calendar 2026, up $0.4B from 2025, driven by Network 2.0 and facility modernization.
  • $5.0B of $8.0B cash is in foreign jurisdictions; company says most is accessible without material tax cost.
  Negative

  • Fourteen class-action lawsuits seek refunds of IEEPA tariffs from FedEx; financial impact uncertain but could be material.

• Unregistered Sales and Repurchases (Item 2)

  New $5B buyback program authorized; prior program fully used; $2B spent in period.
  Positive

  • Spent $2.0B repurchasing 6.3 million shares in the four months ended September 30, 2026.
  Notable

  • New $5.0B buyback program authorized on July 20, 2026, replacing the fully used prior program.

What changed: Sep 2026 vs. Feb 2026

About 37% of FDX's Sep 2026 10-Q is new information. 145 paragraphs were added, 117 changed, and 181 removed. Below are the most important lines SECSift identified.

• Item 2 108
• NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 104
• CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME 5
• Item 6 4
• CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN COMMON STOCKHOLDERS’ INVESTMENT 3
• Item 3 2
• Item 4 2
• Item 1 1
• Item 1A 1